PAA Professional Appraisal Associates is ideally suited to provide value-based appraisal services to the banking industry. This value is derived by the combination of the highest possible quality standards, rapid turnaround, and all at a lower-than-industry average price.Numerous efficiencies, inherent to PAA, allow for this value-based pricing, which, in-turn, translates to the most cost effective appraisal solutions for the client.

PAA will tailor its capabilities directly to the special or unique needs of your organization.

PAA, by virtue of its size and client focus, extensive industry experience, and adaptation of the latest automated appraisal tools, can provide exceptional service to the banking industry.PAA uses a customer focus and client centered approach, which translates to an unparalleled level of communication and service for real estate appraisals.

The following document outlines the many services available, and the methods and processes that are currently employed by PAA, all towards the one single goal of complete customer satisfaction.The philosophy embodied at PAA is that customer satisfaction is a continual improvement process.In reality, the true goal is beyond customer satisfaction, and is actually customer delight.

PURPOSE

The purpose of the following document is to outline the various services and capabilities of Professional Appraisal Associates, and how they are well suited to the needs and requirements of the banking industry.

1.0 INTRODUCTION

Professional Appraisal Associates is an independent appraisal company, centrally located in Solvang. This central location allows us to cover greater areas quickly, resulting in better service to our customers.We specialize in residential appraisals (1-4 Units) with concentration in Santa BarbaraCounty.We also perform review work throughout Santa BarbaraCounty for various lending institutions.

Our appraisal coordinator, Susan Kraushaar, has worked as Senior Appraiser for Security Pacific National Bank.She was assigned to the Los Angeles Residential Appraisal Department, in an office that handled 30,000‑40,000 appraisal requests per year, with quality appraisals at the lowest turn‑around time possible. The same experience and discipline are brought to Professional Appraisal Associates.

In addition, she has broad experience in the banking industry in a variety of positions.These positions included Operations Officer, Loan Officer, and Assistant Manager positions.This experience, coupled with extensive knowledge of the CentralCoast, provides for a strong foundation for PAA.

We primarily use the latest A La Mode, Inc.'s WinTOTAL Aurora appraisal software. The key benefit of WinTOTAL is its completely modular form-processing system. WinTOTAL provides more features than most other appraisal form-filling packages and is one of the most commonly used software packages amongst professional appraisers. It is one of the most powerful and flexible appraisal software programs available on the market, which correlates directly to faster and more quality appraisals to the customer.

Our data sources include First American Title/Realquest, CORT, as well as various MLS BOARDS in Santa BarbaraCounty.

We keep abreast of the most recent USPAP, FIRREA requirements, and FNMA guidelines. These requirements and guidelines are reflected on all of our appraisals.

2.0TURNAROUND TIME

We are able to provide our clients with the highest quality appraisals, while still maintaining the best turn‑around time possible.This is accomplished by a variety of means, including the utilization of specialized software and state-of-the-art equipment.

Because we limit the number of clients we service, we are able to serve each client more efficiently.This client-centered approach allows us to focus primarily on the unique needs of each customer, and in turn, provides for a more rapid turnaround.

We maintain a close coordination with the appraisal review departments to resolve problems rapidly, eliminating delays in the underwriting process.

We work flexible hours to meet the needs of our clients, always with the goal of quality appraisals completed in the most timely manner possible.

Through the use of the latest WinTOTAL Aurora and ACI Lighthouse appraisal software, this allows for easy entry, editing, and formatting of text and numbers with logical movement through data fields.This provides for more efficiency in the development and completion of appraisals.In addition, this software provides for Electronic Data Interchange (EDI), which also translates to extremely rapid turnaround for the client, if similar EDI capability exists within the bank.

Although we utilize a core software system, we are also able to accommodate most other PC based appraisal applications, if a specific program is utilized by your bank.

3.0 QUALITY

With extensive experience serving a myriad of major banks on the CentralCoast, our appraisal coordinator has worked both as an appraiser and a loan officer.

As the Senior Appraiser for Security Pacific National Bank, Los Angeles Residential Appraisal, working in a fast-paced office that handled 30,000‑40,000 appraisal requests per year, the demand for extensive knowledge and expertise was critical. It was necessary to complete quality appraisals at the lowest turn‑around time possible. That quality is included in all appraisals by Professional Appraisal Associates.

Keeping updated with the most recent USPAP, FIRREA requirements and FNMA guidelines, as mentioned above, ensure an accurate and resaleable product.

Professional relationships are maintained with local Brokers, having expertise in the area, which further increases the accuracy of our reports.

Our appraisal coordinator has done extensive review work for various banks. The information accrued through this review work, has highlighted the best techniques for an appraisal. This knowledge is utilized on all our PAA appraisals, to ensure optimal quality.The same review standards are applied to every completed appraisal we do before it leaves our office.This self review success has been acknowledged, with superior ratings received, on reviews done by outside sources on PAA’s appraisals.These special appraisal ratings are all available upon request

Previous loan experience also allows us a unique perspective on the appraisal process and increases the knowledge of what our customers actually need in service.

4.0FEE STRUCTURE

We provide these services to our customers, with our client-centered philosophy, in the fastest turnaround time possible, and also at a competitive cost.

5.0 SPECIAL SERVICES PROVIDED

Recognizing that the number of requested copies varies with each bank and program, we will provide all the necessary copies to ensure complete customer satisfaction.

Always a consideration is that we are representing our client. A professional image is paramount. Flexibility when scheduling appointments, and an “always please the customer” philosophy prevails. This results in better turn-around time, less problems for loan officers, and overall better service.

We also specialize in the complex Indian Reservation Properties, Gaviota Hollister Ranch, Los Padres National Forest, and also the special Leasehold Estate Properties such as Rancho Alisal and the UCSB Campus Point lease land.

SUMMARY

Professional Appraisal Associates is ideally suited to address the specialized requirements of the local banking industry.We can offer the most cost-effective and value-based solutions.The value is derived by the very competitive bid price, while still maintaining the highest standards of quality, through the extremely rapid turnaround time.